Exness's Zero Cut System

Exness’s Zero Cut System is a mechanism that resets your account balance to zero when losses exceed your account balance due to sudden market fluctuations. Since Exness covers the negative balance, you are not required to pay a margin call (additional margin).

At Exness, we provide an excellent trading environment—including “low spreads” and “up to 2,000x leverage” (*)—to protect your funds to the greatest extent possible. However, in the event of sudden market fluctuations, stop-out orders may not be executed in time, potentially resulting in a negative account balance.In such situations, Exness’s Zero Cut System limits a trader’s losses to the account balance (margin). Since you will never incur a debt exceeding the amount you have deposited, even beginners can trade with peace of mind. For Exness, which offers “up to 2,000x leverage,” the Zero Cut System is an indispensable feature.

At Exness, a “stop-out” is triggered when the margin maintenance ratio falls below 0%.A stop-out, also known as a margin call, is a loss protection system that forces the liquidation of positions when a trading account’s maintenance margin ratio falls below a certain level. While many brokers set their stop-out levels between 20% and 100% of the maintenance margin ratio, Exness—unlike most in the industry—has set its stop-out level at 0%.With Exness’s 0% stop-out level, you can continue trading until the margin in your account is completely depleted. When a stop-out occurs, even positions that might have generated a profit if held longer are forcibly closed. Therefore, the “0% stop-out level,” which allows you to trade while maximizing the potential of your margin, is a significant advantage.

Additionally, at Exness, if your maintenance margin ratio falls below 30% (60% for Standard and Standard Cent accounts), we will notify you of the decline via a “margin call.”At Exness, when a margin call is triggered, positions are not forcibly closed, and additional deposits are not required. When a margin call is triggered, please check your current account margin balance and take steps such as closing positions or making an additional deposit to ensure you have sufficient margin before continuing to trade.

At Exness, as part of our efforts to build sustainable, long-term relationships with our traders, we have implemented a zero-cut system to provide maximum protection for our clients’ funds.To minimize the risk of losses as much as possible, we have implemented a system that ensures you will never incur debt even if your account balance goes negative, allowing you to trade with peace of mind. Please enjoy trading while minimizing risk with the Zero Cut System, and take advantage of Exness’s unique high leverage of up to 2,000x (*) and industry-leading tight spreads.

Please review the timing and rules for when the zero-cut system is triggered at Exness.

Exness’s zero-cut system is automatically triggered when your account balance goes negative due to sudden market fluctuations. With some FX brokers, the zero-cut may not be executed immediately after the balance goes negative; instead, it may require time for review by the relevant department or necessitate an additional deposit.However, at Exness, the zero-cut is automatically triggered the moment your balance goes negative, helping you avoid missing out on trading opportunities. Once your account balance has been reset to zero, please deposit funds into your trading account and resume trading using those funds.

Please note that if you make an additional deposit into an account with a negative balance resulting from open positions before Exness has issued a reimbursement, the zero-cut policy will not be enforced. If the negative balance is deducted from your deposit, please contact the Exness Support Desk.

Exness’s Zero Cut System applies to all account types and all tradable instruments offered by Exness. Furthermore, there is no upper limit on the negative balance covered by the Zero Cut System. No matter how large your losses may become, your negative balance will be reset to zero as long as you have no open positions. Please rest assured that there is also no limit on the number of times the Zero Cut System can be triggered.

Exness’s Zero Cut policy is applied on a per-account basis. Therefore, please rest assured that even if there is a positive balance in one account within the same account group, those funds will not be used to cover a negative balance in another account. Exness will cover any negative balances in each account and reset the balance to zero.

Exness employs a zero-cut system, which enables comprehensive risk management across all aspects of trading. Precisely because we provide a trading environment that is advantageous to traders—featuring industry-rare benefits such as a “0% stop-out level” and “up to 2,000x leverage” (*)—it is crucial to manage risk using the zero-cut system.

When trading FX or CFDs on Exness, you need to be aware of irregular market shocks. Looking back at past market events, there have been instances such as “Black Monday” and the “Apple Shock,” in which many investors suffered significant losses, as well as the “COVID-19 Shock,” which is still fresh in our minds.During market shocks, even if you have set stop-loss orders on your open positions, extraordinary and sudden price fluctuations can cause losses to exceed your account balance in a matter of seconds. Trading with Exness, which employs a zero-cut system across all account types and instruments, serves as a risk mitigation measure against such market shocks.

Exness’s Zero Cut System serves as a risk hedge against the “0% stop-out level.” Exness’s 0% stop-out level is rare in the industry; since you can hold positions until your margin is depleted, you can wait longer to capitalize on the chance for a market reversal that turns losses into profits.While this offers the advantage of maximizing the potential of your margin, even the slightest delay in the stop-out timing can result in significant losses. Exness’s Zero Cut System helps mitigate this risk. Through the combination of a “0% stop-out level” and the “Zero Cut System,” Exness allows you to improve capital efficiency and minimize the risk of losses.

Exness offers “up to 2,000x leverage” (*), making it possible to trade with amounts ranging from small to large. However, high-leverage trading carries a higher risk of significant losses than regular trading when the market moves in an unexpected direction.Precisely because Exness enables dynamic trading with up to 2,000x leverage, we believe it is crucial to protect our clients’ funds to the greatest extent possible through our Zero Cut System, which helps avoid significant losses during irregular market conditions.For those who want to try high leverage but are concerned about debt in the event of a losing trade, the “Zero Cut System”—which ensures you will never incur debt exceeding your deposit—provides peace of mind as you begin trading.We recommend that beginners start trading with a small amount of capital and make additional deposits once they become more comfortable. Please rest assured that Exness does not profit from your losses.

Both Exness’s Zero Cut System and Stop-Out are important mechanisms designed to protect your account balance. Please review the important points regarding Exness’s Zero Cut System and Stop-Out to ensure a smooth trading experience.

At Exness, leverage of up to 2,000x(*) is available for all account types, allowing for a wide range of trading opportunities. However, Exness imposes leverage restrictions based on your account balance.Therefore, if you generate profits from trading and your account balance exceeds a certain level, your leverage will be restricted, and your required margin will increase. As your required margin increases, your margin maintenance ratio decreases, making you more susceptible to a margin call. Please be mindful of Exness’s leverage restrictions.

In addition, the maximum leverage is limited to 200x around the time of major economic news releases and around market open and close on weekends. Please check the “Economic Calendar” for the schedule of major economic indicators.Furthermore, Exness will notify you via email in advance whenever leverage restrictions are imposed due to major events or economic indicators, so please check your email for details.

Exness uses a “mid-price stop-out determination” system, which means that even if your margin balance drops to 0 yen, a stop-out may not be triggered immediately.This is a method unique to Exness. When market volatility causes the margin maintenance ratio to approach 0% and a stop-out (forced liquidation) appears imminent, the system halves the spread to make forced liquidation less likely to occur.

At Exness, these spread discounts can delay a forced liquidation. As a result, even if your margin maintenance level and margin balance reach zero, liquidation may not be triggered immediately, and trading may continue while you have a negative balance.The best-case scenario is for the market to reverse and generate a profit. However, even if your position is eventually liquidated and your losses exceed your account balance, please rest assured that the zero-cut system will reset your balance to zero.